The latest tax policy documents for solar container projects

Are solar and storage projects eligible for tax credits?

To be eligible for tax credits, materials from a prohibited foreign entity (PFE) must be under a certain percentage threshold. These thresholds are different for solar and storage projects and increase annually:

Does your company qualify for a solar investment tax credit?

A major change is coming for commercial solar projects — and it could determine whether your company qualifies for the federal 30% Investment Tax Credit (ITC) for solar or loses it entirely. Starting January 1, 2026, new Foreign Entity of Concern (FEOC) rules take effect.

When does a solar project qualify for a tax credit?

Currently, solar projects must be placed in service by the end of 2027 to qualify for the tax credit. There’s an exception for projects that start construction within one year of bill passage (by July 4, 2026), enabling those projects to get 100% ITC if placed in service within 4 years.

Can a business claim a 30% tax credit on solar?

For years, eligible businesses have been able to claim a 30% federal tax credit on qualified solar investments—including both commercial rooftop solar and ground-mounted systems—dramatically reducing upfront costs and improving project ROI.

Can a nonprofit benefit from the commercial solar tax credit?

Yes. Tax-exempt entities such as schools, municipalities, and nonprofits can continue to benefit from the commercial solar tax credit using the direct pay option under Section 6417.

Do commercial solar projects qualify for ITC?

To qualify, commercial solar projects must now adhere to one of two key pathways defined by the IRS under safe harbor solar ITC provisions: Treasury’s August 2025 guidance narrows how commercial solar projects can qualify as “having begun construction” before the July 4, 2026 deadline.